Retaining a tenant can be challenging for landlords, especially in current rental markets. Fortunately, there are several strategies landlords can use to maximize their ROI while providing tenants with a great living experience that will inspire them to renew their lease.
In this article, we’ll explore the six best ways to retain a tenant, including staying on top of maintenance, offering incentives, and being flexible with lease terms. With these strategies in place, you can enjoy the peace of mind that comes with having reliable tenants for the long term.
Proper Tenant Screening
Thoroughly screening tenants is a great way to ensure that your property has a resident who is a perfect fit!
After a prospective tenant submits a rental application, you can conduct background checks, verify employment and income, and evaluate credit reports to determine whether a tenant will meet your needs. This will also ensure your tenant is reliable and trustworthy.
You can also contact references, such as current or former landlords, employers, and personal contacts. This allows you to get a better understanding of the tenant and determine if they are likely to take care of your property.
Offering Competitive and Flexible Lease Terms
Creating mutually beneficial and fair lease agreements is essential for successful long-term landlord-tenant relationships. Offering competitive and flexible lease terms can enable you to get the most out of the agreement.
Flexible lease terms provide tenants with the freedom to choose a lease term that works best for them. For example, many renters appreciate flexible landlords who rent to pet owners. At the same time, you’ll receive a steady income and consistent occupancy rates.
When negotiating lease options with potential tenants, consider offering month-to-month, six-month, or annual leases. This way, tenants can choose a term that best suits their needs while still having some flexibility. Additionally, being open to altering or amending existing lease agreements when necessary will improve your reputation among your tenants.
Incentivizing tenants to stay is a great way to retain long-term occupants. Offering exclusive benefits such as free parking and gym memberships will make renters more likely to lease your rental property. You can also offer discounts at local businesses to provide a tangible reward that benefits you, your tenants, and local business owners.
Flexible payment plans are a popular incentive among renters. These plans allow tenants to pay rent on the dates that suit them best. For instance, a renter may want to pay rent on a bi-weekly basis instead of a monthly one. Allowing tenants to pay rent online removes the hassle of mailing checks or coming to your office in person to pay rent.
Additionally, providing a rewards program for making payments on time could incentivize tenants to renew their leases. For example, you could offer a reward for every consecutive month of on-time payments. These rewards could be anything from a gift card to a discount on rent if the tenant has never made a late payment.
Supply Great Amenities
Creating a high-quality rental experience for tenants is easy when you provide top-tier amenities. Access to gyms and shared workspaces are particularly popular among renters. Also, tenants often look for safety features like external cameras and upgraded locks.
If you own rentals with common areas that multiple renters access, they should always be kept clean. You can offer additional services in common areas, such as laundry facilities, parking spaces or even WiFi.
Additionally, it’s crucial to record all complaints and feedback from your tenants and act promptly to resolve any issues. Creating a welcoming space for your tenants will make them want to renew their lease. You can achieve this by updating the amenities you offer to meet tenants’ needs.
Offer Prompt Maintenance Services
Property owners and landlords should have a 24-hour emergency maintenance line in place, as this will increase tenant retention. Having an easy way to contact you will allow tenants to report urgent maintenance issues.
You should also try to resolve all maintenance issues promptly. Delaying repairs can cause tenants to become frustrated and eventually move out. Additionally, ensure you have a team of experienced and reliable professionals to handle maintenance and repair requests.
Build a Trusting Relationship
Building trust with your tenants is essential to your success as a landlord. You should strive to create a relationship built on mutual respect. It’s important to be available when your tenants need you. Ensure all your contact information is included in the lease agreement.
You should transparently explain lease terms when you acquire a new tenant. This will prevent misunderstandings and ensure your renters know how much notice they’ll receive prior to property inspections.
Regularly check in with your tenants and actively listen to their concerns or needs. You can schedule a quarterly visit to ensure there are no maintenance issues and ask your tenants how you can improve their rental experience. This will help you provide better services and build a strong communicative relationship with your renters.
Following the above tips will make retaining tenants easier than ever! However, minimizing tenant turnover can be stressful and take up a lot of your time. Hiring a property management company can save you time and money in the long term!
Effective property managers improve tenant retention by providing top-notch rental experiences. Property managers will maintain your property, respond to maintenance requests promptly, and offer additional amenities and services. These services help foster a better landlord-tenant relationship and increase the chances of tenants staying longer.
For expert property management, contact the experts at Real Canadian Property Management Solutions today!